THE Pune-based Bank of Maharashtra proposes to raise Rs 230 crore through an initial public offering.

The bank said on Saturday that it has received the `go ahead' from the Securities and Exchange Board of India for its IPO and it will issue 10 crore shares of Rs 10 each for cash at a premium of Rs 13 per share, aggregating Rs 230 crore. The issue is slated to open on February 25.

The bank, with a wide network of 1,251 branches, has seen consistent growth in advances and deposits, and has recorded a compounded average growth rate of 19.41 per cent per annum and 21.49 per cent per annum respectively, on its deposits and advances in the last five years, said a press release.

The bank's deposits have more than doubled over the last four years, amounting to Rs 22,175.75 crore as on March 31, 2003 against Rs 10,928.52 crore on March 31, 1999. At the same time advances have more than doubled touching Rs 9,508.13 crore as on March 31, 2003 from Rs 4,061.84 crore on March 31, 1999, the release said.

As on March 31, 2003, the bank's total business stood at Rs 32,200.54 crore and it earned an operating profit of Rs 520.58 crore and net profit of Rs 222.02 crore for the year ended March 31, 2003.